The Country Club Plaza is on track to see a major revitalization effort after the Port Authority of Kansas City voted Monday to issue nearly $1.5 billion in bonds and tax breaks to the development company that owns the district.
Under their proposal, Dallas-based owner Gillon Property Group will add offices, apartments and hotel rooms to the neighborhood over the next 15 years.
Port KC’s economic development package will allow Gillon to pay an annual fixed pilot payment instead of property taxes. Port KC president and CEO Jon Stephens said that payment, which will increase by 2% every year, will be distributed to public schools and libraries.
The move marks recent efforts to revitalize the district, which has seen numerous businesses leave behind vacant storefronts in recent years. It’s lost more than 50% of its appraised value since 2020.
Stephens said feedback has been “overwhelmingly positive,” but he respects concerns brought on by Kansas City Public Schools officials and other groups about potential revenue loss for these taxing jurisdictions.
“I think we try our best to strike a balance. And sometimes when everyone believes that a little bit is lacking, but they got most of what they want, that's when we landed a really positive outcome,” Stephens told KCUR’s Up To Date.
Stephens said Port KC, which is a public agency, would “monitor” Gillon’s spending to ensure that development is beneficial to the community. He referred to the deal as a prime example of public-private partnership, and said it is necessary for the future of the Plaza.
“Without significant reinvestment and revitalization of the Plaza, we will continue to see an erosion of the tax base, not only in the area that is now owned by Gillon Property Group, but really the entire surrounding neighborhood and the surrounding Plaza Bowl area,” Stephens said.
The Port KC Board of Commissioners would need to vote again to finalize the proposal. A voting date is not yet set.
- Jon Stephens, President and CEO, Port KC
